The avalanche of volatility pouring down on investors took another victim Tuesday with the liquidation of a newfangled security at the center of the storm. It remains to be seen if the move will stabilize markets that have already seen $3 trillion of value erased.
While U.S. equities calmed somewhat, questions remain over how a security that quickly became a favorite of investors could enact enough stress in the market’s plumbing that it shook stock markets from New York to Tokyo.
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